Monday, July 11, 2011

"Brussels & Moody's Fire Shots At One Another " - Updates by Political Risk Explored

Brussels & Moody's Fire Shots At One Another

  • Brussels is indignant with Moody's after they lowered Portugal's rating to junk status. To a certain degree I agree with the EU. It seems that their sovereign risk ratings are in hyper-sensitive mode after the collapse of their credibility during the financial crisis and that's having a deleterious effect on the eurozone. On the other hand, sovereign risk ratings are different from corporate credit risk ratings and I think that Moody's may just be doing its job. (Financial Times)
  • The US and Mexico have hopefully come to the successful conclusion of US intransigence over Mexican drivers in the US. (Financial Times)
  • The biggest problem facing Thailand's triumphant PT party is when it launches an investigation into the deaths of protestors by the army. Cannot see that going anywhere good. Read the whole article if you can, I love their breakdown of the colors. Watermelon was my favorite. (Financial Times)
  • Italy has passed an austerity budget. Only problem is, the usually stern and easily understood finance minister, Giulio Tremonti, made about 30 caveats about the budget and, honestly, it seems like part I of ? See if you do better from this article. (Financial Times)
Selected by Political Risk Explored